--- title: Microsoft Sees Strong Cloud and Gaming Services Growth... description: Microsoft reported strong financial performance in Q4 with $64.7 billion in revenue and $22 billion in net income. Intelligent Cloud revenue grew by 19%, while... canonical: https://daily.dev/posts/microsoft-sees-strong-cloud-and-gaming-services-growth-in-q4-fy24-amid-hardware-decline-nxfiqntm3 twitter:card: summary_large_image twitter:site: @dailydotdev og:type: website og:site_name: daily.dev og:title: Microsoft Sees Strong Cloud and Gaming Services Growth in Q4 FY24 Amid Hardware Decline | daily.dev og:description: Microsoft reported strong financial performance in Q4 with $64.7 billion in revenue and $22 billion in net income. Intelligent Cloud revenue grew by 19%, while... og:url: https://daily.dev/posts/microsoft-sees-strong-cloud-and-gaming-services-growth-in-q4-fy24-amid-hardware-decline-nxfiqntm3 og:image: https://api.daily.dev/og/posts/nXFIQNTM3.png og:image:alt: Microsoft Sees Strong Cloud and Gaming Services Growth in Q4 FY24 Amid Hardware Decline og:image:width: 1200 og:image:height: 630 og:locale: en --- > ## Documentation Index > Fetch the complete documentation index at: https://daily.dev/llms.txt > Use this file to discover all available pages before exploring further. # Microsoft Sees Strong Cloud and Gaming Services Growth in Q4 FY24 Amid Hardware Decline **[Collections](https://daily.dev/sources/collections)** · 2 min read · 1 upvotes · 0 comments ## Summary Microsoft reported strong financial performance in Q4 with $64.7 billion in revenue and $22 billion in net income. Intelligent Cloud revenue grew by 19%, while Xbox content and services surged by 61% due to the Activision Blizzard acquisition. However, Surface revenue declined for the seventh consecutive quarter, and Xbox hardware sales dropped by 42%. Microsoft continues to focus on subscriptions and digital stores to drive its gaming segment's future growth, despite the ongoing decline in hardware sales. ## Content # Microsoft’s Q4 Highlights: Cloud Revenue Surges, Xbox Content Thrives, Hardware Declines Microsoft has reported a robust financial performance for Q4, with revenues reaching $64.7 billion and net income hitting $22 billion. A major highlight of the quarter is the 19% year-over-year increase in Intelligent Cloud revenues, underscoring Microsoft's growing dominance in the cloud sector. However, not all areas performed equally well. Surface revenue continued its decline for the seventh consecutive quarter, while Windows OEM revenue saw a modest 4% rise. One of the standout aspects of Microsoft's report was the performance of its gaming division. Xbox content and services revenue surged by an impressive 61%, largely due to the $69 billion acquisition of Activision Blizzard. This growth in content and services was a significant contributor to the company's overall gaming revenue, which increased by $6 billion for the fiscal year. Despite this, Xbox hardware revenue saw a noticeable decline of 42% in Q4, continuing a trend of reduced console sales. The overall More Personal Computing segment, which includes both Surface and Xbox products, recorded $15.9 billion in total revenue and $4.9 billion in operating income. Microsoft attributes its strong gaming performance to its ongoing strategy of focusing on subscriptions, ads, and digital stores rather than relying solely on hardware sales. Looking ahead, Microsoft anticipates continued growth in its gaming content and services, supported by the integration of Activision Blizzard. Furthermore, new products such as the Copilot Plus PCs and upcoming changes to Xbox Game Pass are expected to positively impact future earnings, even as hardware sales are projected to continue their decline. ## Similar posts on daily.dev - [Don’t just attend KubeCon \+ CloudNativeCon, Merge Forward your experience\!](https://daily.dev/posts/don-t-just-attend-kubecon-cloudnativecon-merge-forward-your-experience--l0rpp73x8) · CNCF · 1 upvotes · 0 comments - [Announcing H2 2026 KCDs](https://daily.dev/posts/announcing-h2-2026-kcds-m96goajm1) · CNCF · 1 upvotes · 0 comments - [Two months of Open Community Groups](https://daily.dev/posts/two-months-of-open-community-groups-asf52zhbs) · CNCF · 0 upvotes · 0 comments - [CNCF Unveils Schedule for KubeCon \+ CloudNativeCon Europe 2026](https://daily.dev/posts/cncf-unveils-schedule-for-kubecon-cloudnativecon-europe-2026-ikhcoa5cb) · CNCF · 2 upvotes · 0 comments - [CNCF Debuts KubeCon \+ CloudNativeCon Japan 2026 Schedule](https://daily.dev/posts/cncf-debuts-kubecon-cloudnativecon-japan-2026-schedule-xp5pyudub) · CNCF · 1 upvotes · 0 comments --- Tags: [#cloud](https://daily.dev/tags/cloud), [#microsoft](https://daily.dev/tags/microsoft), [#gaming](https://daily.dev/tags/gaming) [View this post on daily.dev](https://daily.dev/posts/microsoft-sees-strong-cloud-and-gaming-services-growth-in-q4-fy24-amid-hardware-decline-nxfiqntm3) ```json {"@context":"https://schema.org","@graph":[{"@type":"Organization","@id":"https://daily.dev/#organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180},"sameAs":["https://twitter.com/dailydotdev","https://github.com/dailydotdev","https://www.linkedin.com/company/daily-dev-ltd"]},{"@type":"WebSite","@id":"https://daily.dev/#website","url":"https://daily.dev","name":"daily.dev","publisher":{"@id":"https://daily.dev/#organization"},"potentialAction":{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https://daily.dev/search?q={search_term_string}"},"query-input":"required name=search_term_string"}}]} {"@context":"https://schema.org","@type":"TechArticle","headline":"Microsoft Sees Strong Cloud and Gaming Services Growth in Q4 FY24 Amid Hardware Decline","url":"https://daily.dev/posts/microsoft-sees-strong-cloud-and-gaming-services-growth-in-q4-fy24-amid-hardware-decline-nxfiqntm3","mainEntityOfPage":{"@type":"WebPage","@id":"https://daily.dev/posts/microsoft-sees-strong-cloud-and-gaming-services-growth-in-q4-fy24-amid-hardware-decline-nxfiqntm3"},"datePublished":"2024-07-31T09:10:39.323Z","dateModified":"2024-07-31T09:24:55.720Z","description":"Microsoft reported strong financial performance in Q4 with $64.7 billion in revenue and $22 billion in net income. 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